Pricing computer services: queueing effects

ABSTRACT

This article studies the effects of queueing delays, and users' related costs, on the management and control of computing resources. It offers a methodology for setting price, utilization, and capacity, taking into account the value of users' time, and it examines the implications of alternative control structures, determined by the financial responsibility assigned to the data processing manager.

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INDEX TERMS

Classification:
  C. Computer Systems Organization
  C.4 PERFORMANCE OF SYSTEMS
      Subjects: Measurement techniques

  D. Software
  D.4 OPERATING SYSTEMS
      D.4.8 Performance
          Subjects: Queueing theory

  G. Mathematics of Computing
  G.m MISCELLANEOUS
      Subjects: Queueing theory**

  K. Computing Milieux
  K.6 MANAGEMENT OF COMPUTING AND INFORMATION SYSTEMS
      K.6.2 Installation Management
          Subjects: Pricing and resource allocation

General Terms:
Economics, Management, Performance, Theory